BAP, GSIC, SKX, TGT Among Charts to Watch

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The market has suffered two consecutive pretty sharp down days. The back of the market may have been broken here, and we could be headed lower. Although we’re oversold short-term, we will have to carefully watch the next few days, particularly if it bounces and whether the bounce comes on low volume and with technicals negatively diverging or not. Let’s look at some of the Boxer Shorts.

Credicorp Ltd. (BAP) was down 1.28 Wednesday as it continues its negative decline in a very orderly channel. A recent little pattern, that looks like a bear flag formation, was broken Wednesday with that 1.28 drop. At this point an additional down move could take place, which should get this down toward the low 90s short-term, but a much more rapid decline may ensue, that takes it down to the 87 1/2 – 88 zone, and then a secondary target around 80.

GSI Commerce Inc. (GSIC), which has broken a wedge pattern, is now rolling over, bounced back to that line, and Wednesday dropped 56 cents. It may be headed toward 18 1/4, and then eventually down around 16 1/2.

Skechers USA Inc. (SKX), which has been ugly now for 7 or 8 months, could not get back above its late November high. Recently it rolled back over and is now pulling back to retest the double bottom around the 19 1/4-1/2 area. If that’s broken, look out below as SKX could be in the mid-teens before long.

Target Corp. (TGT) started a big gap down in January, consolidated, rolled over to a secondary low and snapped back. It has really come down hard in the last few weeks. It moved down from 55 to 50. There’s been big volume in the last few days to the downside, perhaps signaling a bit of overbought-selling climax, but at the same time two key levels of support have been taken out. It’s very likely a test of the secondary support down around the 48 zone short-term, and then 45 1/2 and beyond.

Other stocks in our Charts of the Day video are Broadcom Corp. (BRCM), Cellcom Israel Ltd. (CEL), Cree Inc. (CREE), Ctrip.com International Ltd. (CTRP), Freeport-McMoRan Copper & Gold Inc. (FCX), F5 Networks, Inc. (FFIV), Hawkins Inc. (HWKN), Homex Development Corp. (HXM), Rovi Corporation (ROVI), Sensient Technologies Corporation (SXT), Teck Resources Limited (TCK), VMware, Inc. (VMW).